January 6, 2025
Seven 3PL Trends to Watch for in 2025
3PL has undergone significant changes driven by technological advancements, political instability, and evolving customer demands. Here are seven trends that will affect the industry in 2025:
- Investing in workforce training. The 3PL industry continues to struggle with a shortage of qualified labor. Logistics companies are investing in workforce training and automation solutions to ensure continued operations.
- Focusing on zero emissions. More and more, attention is being paid to the environmental impact throughout the supply chain. 3PL carriers are investing in low- and zero-emission transport vehicles. Challenges include a scarcity of zero-emission heavy-duty trucks and a shortage of charging stations to support them.
- Rising operational costs. Multiple factors continue to adversely affect 3PL companies, including increased fuel costs, higher wages, regulatory compliance, and unexpected demand shifts requiring companies to be more efficient and able to scale operations quickly.
- Geopolitical instability. Geopolitical tensions, natural disasters, tariffs, and changing supplier requirements can disrupt shipping routes and supply chains, posing challenges for 3PL providers in maintaining reliable services. 3PL companies are exploring more global collaboration to expand into new markets and services to meet the demands of uninterrupted global logistics solutions. Digital technologies are helping address challenges like market volatility and expanding service offerings.
- Meeting the needs of eCommerce. Changing consumer behavior, along with the rise of eCommerce, has led to the need for faster and more flexible delivery options. 3PL companies are looking to include fulfillment and last-mile delivery solutions. These companies pay special attention to reliable and accurate fulfillment, order accuracy, and the ability to manage a high volume of small orders quickly.
- Technology and automation. Logistics companies continue to innovate with technology solutions that help them run more efficiently. These solutions, often aided by AI-powered tools, help automate routine tasks, optimize routes, enable real-time tracking, and enable greater regulatory compliance.
- Managing cybersecurity threats. Companies of all sizes are targets of cyberattacks, from phishing attacks to ransomware, and logistics companies are not immune. Cybercriminals also leverage security weaknesses in one company to attack other companies they exchange information with. 3PL companies are increasing their focus on protecting sensitive data from breaches and ensuring compliance with data protection regulations. Download our eBook, Cybersecurity in Third Party Logistics (3PL): Protecting your business from costly threats.
3PL software solutions from ArcherPoint
ArcherPoint provides 3PL solutions to address the needs of logistics providers based on Microsoft Dynamics 365 Business Central, a powerful and flexible platform that supports the operational needs of 3PL companies. Business Central integrates across platforms, allowing connections to customers, manufacturers, freight carriers, robotics, and warehouse management. ArcherPoint is also a leading Boltrics solutions partner, which enables us to provide tailored 3PL Dynamics solutions.
Contact ArcherPoint to learn more.